US embassy cable - 03COLOMBO2199

UNCLAS COLOMBO 002199 
 
SIPDIS 
 
USDOC FOR 4530/ITA/MAC/ANESA/OSA 
EMBASSIES FOR FCS OFFICES 
STATE FOR SA/INS, EB 
 
E.O 12958: N/A 
TAGS: BEXP, EPET, ENRG, BTIO, CE, ECONOMICS 
SUBJECT: IMI: OIL EXPLORATION OPPORTUNITY IN SRI 
LANKA 
 
 
1.  Summary:  Hoping to begin off-shore oil 
prospecting soon, the Sri Lanka Government intends to 
announce its plans to international oil companies at 
a workshop in early 2004.  End Summary. 
 
2.  The Government plans to open areas in the Mannar 
Basin off the north-western coast of Sri Lanka for 
oil exploration.  Keen to engage the participation of 
international oil companies, the GSL will hold a 
workshop in Colombo for interested companies in the 
first quarter of 2004.  At this workshop, the terms 
and conditions for exploration and general 
information on petroleum prospects of the area, the 
regulatory environment, business climate and 
incentives will be announced.  Following the 
workshop, the GSL hopes to issue oil exploration 
licenses to about nine companies through a 
competitive bidding process. 
 
3.  The Parliament has recently approved a new 
Petroleum Resources Act to facilitate oil exploration 
by private companies.  The Act provides for the 
establishment of a Petroleum Resources Development 
Committee and a Petroleum Resources Secretariat to 
coordinate exploration activities.  The GSL is also 
in the process of finalizing petroleum operation 
regulations and model contracts under the new Act. 
 
4.  U.S. companies interested in bidding can purchase 
exploration data from the following companies: 
 
New seismic data acquired in June 2001 are available 
from: 
TGS-NOPEC Geophysical Company Ltd. 
Level 5 MLC Building 
1100, Hay Street 
West Perth 6005 
Western Australia. 
Ph: 618-9480-0000 
Fax: 618-9321-5312 
Contact Person:  Paul Gilleran 
Email: paulg@tgsnopec.com.au 
 
Information on TGS NOPEC can be found on 
www.tgsnopec.no 
 
A satellite gravity study completed in 2002 can be 
obtained from: 
Petroscan AB 
Ovanskogsliden 12 
41119, Gothenburg 
Sweden. 
Ph: 46-31-101720 
Fax: 46-31-135184 
Contact person: Mr. Bert Lundgren 
Email: bert@petroscan.se 
 
Information on Petroscan AB can be found on 
www.petroscan.se 
 
5.  US companies may contact the following GSL agency 
for information regarding the upcoming workshop: 
Ministry of Power and Energy, 80 Sir Ernest De Silva 
Mawatha, Colombo 7.  Sri Lanka.  Ph: 94-11-256-4847 
Fax: 94-11-256-4474.  Contact Person: M. 
Warnakulasooriya, Secretary. 
 
LUNSTEAD